Parag Milk Foods Approves Rs 105 Crore Capacity Expansion, Reviews Q1 FY27 Results

"Parag Milk Foods approved a Rs 105 crore investment to double its cheese production capacity and reviewed its Q1 FY27 financial performance."

Parag Milk Foods Expands Cheese Capacity and Strengthens Leadership

Parag Milk Foods Ltd. has announced key decisions from its board meeting, including a Rs 105 crore investment to expand cheese manufacturing capacity, the appointment of a new Chief Financial Officer (CFO), and the review of its unaudited financial results for the quarter ended June 30, 2026.

Capacity Expansion and Q1 FY27 Highlights

• Capacity Expansion: The Board approved a Rs 105 crore investment to double the company's cheese production capacity.
• Growth Strategy: The expansion is aimed at meeting rising demand for cheese and whey protein products in the domestic market.
• Leadership Update: Rakesh Kothari has been appointed as Chief Financial Officer (CFO) and Key Managerial Personnel (KMP) with effect from August 7, 2026.
• Revenue Growth: The company reported Q1 FY27 revenue of Rs. 945 crore, reflecting 11% year-on-year (YoY) growth.
• Profitability: Net profit stood at Rs. 22 crore, down 20% YoY, primarily due to a higher current tax impact.
• Margins: Gross margins remained healthy at 27.3%, despite a 13% year-on-year increase in raw material prices.

What to Watch Next

• Investors will monitor the progress of the cheese capacity expansion and demand trends in the dairy segment.
• The company's ability to protect margins amid higher input costs and successfully execute the new capacity expansion will remain key areas of focus.
• Investors may also track the contribution of the expanded capacity to future revenue growth and overall profitability.